Burning of cryptocurrency

[akhatti]

Hello guys,
I have recently come to know about cryptocurrency. It is amazing, how these digital currency eill revolutionise this world.
Since, I am following alot of coins. I have listen about burning of cryptocurrency. I am a little bit confused what does burning mean, I will be thankful if anybody explain this.
And I have seen major percentage of coins hold by this address 0x000000000000000000000000000000000000dead.
To whom this address belong? Is there anyone have access of this address ?

[1715574548]

1715574548

[shinratensei_]

That address does not belong to someone or a human. That address is the default address that is created for the purpose to burn the token.
None can access the address even the developer of the platform can't do that.
Any token that already sent to the default address can be considered already burned. You should not feel worried about that. There's no party that can have access to the default address.

[Alanaz]

Coin burning is a system performed by the coin maker in which they remove or burn some of their coins which aims in addition to raising the price of coins because the coins are becoming increasingly scarce is also used to avoid the coin to avoid inflation.
An example that has just happened is bnb which a few weeks ago burned its coins.
can be seen after they burn some of their coins bnb immediately sped up its price because their coins decreased automatically their price went up

[blockman]

Burning means whenever there are tokens sent to that address that isn't owned by anyone, that will be stored there forever and can no longer be retrieved.
It lessens the supply of that token which makes it more valuable in due time and makes the demand higher based on the law of supply and demand.

[Chuky92]

Burning of cryptocurrencies or token/coin burn as it is mostly called is a process whereby a certain amount of the token or coin of the platform is removed from the total supply of that coin or token in question thus reducing the supply. Normally, most times this is used to drive hype which in turn drives up the price but nowadays it doesn't do much except if the coin or token is from a reputable platform.
About the address where the coin or token is sent to, the address belongs to no one, meaning any cryptocurrency sent there is lost forever. Since it belongs to no one, no one have access to it, because if it's accessible then it defeats the purpose of the coin/token burn.

[Mtaiwo]

The burning of cryptocurrency is to reduce the total level of supply to general public and also serve as a means of influencing the value of token, because bigger purchasing power will be chasing few token thereby lead to increase in the value.

[tippytoes]

Burning means whenever there are tokens sent to that address that isn't owned by anyone, that will be stored there forever and can no longer be retrieved.
It lessens the supply of that token which makes it more valuable in due time and makes the demand higher based on the law of supply and demand.

But it will only be valuable if the dev team of the token is also doing their developments on the project. Burning alone is not an assurance that a token will increase its value in the market. But if it is accompanied by active development from the dev's side, there's a chance that the token will gain better value in the market. So don't be attracted by seeing that there is burning program for the token but also look if the project has good use case in the market. Without its actual application, would be hard for the token to get valuable if it is relying with the burn program only.

[fosco333]

That address does not belong to someone or a human. That address is the default address that is created for the purpose to burn the token.
None can access the address even the developer of the platform can't do that.
Any token that already sent to the default address can be considered already burned. You should not feel worried about that. There's no party that can have access to the default address.

Nor the Alien's  
Yeah, 0xdEaD is an address that doesn't belong to anyone because it is almost impossible to get the private key with 0xdEaD address.
Actually, burn address can be any address that doesn't belong to anyone. To prove it doesn't owned by anyone, we use 0xdEaD or 0x...0000.
But some smart contract have burn function, which doesn't require it to transfer to burn address, it use function : balances[owner] -= burnAmount

[the rise]

it is the address of the ethereum smart contract, the address it has no owner, any defection will be sent to that address, is a condition of the eth platform itself, the article token is no longer usable, Burning the article token eliminates some total supply causing the supply to get thinner and scarce.

[Em00n01]

0x000000000000000000000000000000000000dead
This address is not accessible to anyone. The purpose of creation of this address is token burning. Whenever a token sent there no one can get back those token. It's locked/burned forever.

[slashz9]

burning coins aims to reduce the supply and of course if viewed normally then the price of coins should increase because the number has decreased forever and cannot be contested, regarding the 0x00000 address you mean that is a dead address or a disposal place for burn coins, so there is nothing have access to it and the value of coins burned depends on how many projects burn coins.

[VanDeinsberg12]

By burning coin basically you just throw it to an address that's belong to no one and one of example is the address you mentioned. You can't edit the total supply etc because the whole blockchain isn't yours to own or any group but all the nodes and users therefore the only convenient way to dispose of the coin that you're supposed to burn is to do just that.
I've seen some erc20 tokens also burning their tokens by just sending it to some obscure address unlike the address you mentioned or different but the most important thing is that the coin or token sent to that address is permanently unretrievable.

[Gozie51]

It lessens the supply of that token which makes it more valuable in due time and makes the demand higher based on the law of supply and demand.

This is one of the simplest way to understand what burning is. Burning is just as you know it and the purpose is to create value around the project. Usually when a coin is burnt out, it means some of the coins not in use and can't be recovered and that automatically reduces the maximum supply of the coin and that creates limitation in it. This action creates value on the project, binance had such and you can see where the price is today.

There are so many kind of benefit with burning of project.

The investors see it as the team is active and trying to see how to be better appreciated in the market and when the burn happens, it attracts more investors because of that (active team)

When burn happens, most times the team creates more awareness and technology on the project increase.

It brings partnership. Most investors like to put money where there are good partnership. Like cartesi in instance is having lots of partnership around it which is helping the coin growth.

When the maximum supply of a coin is reduced, it creates new kind of investors from partnership to traders and institutional investors.

[no-ice-please]

It lessens the supply of that token which makes it more valuable in due time and makes the demand higher based on the law of supply and demand.

This is one of the simplest way to understand what burning is. Burning is just as you know it and the purpose is to create value around the project. Usually when a coin is burnt out, it means some of the coins not in use and can't be recovered and that automatically reduces the maximum supply of the coin and that creates limitation in it. This action creates value on the project, binance had such and you can see where the price is today.

There are so many kind of benefit with burning of project.

The investors see it as the team is active and trying to see how to be better appreciated in the market and when the burn happens, it attracts more investors because of that (active team)

When burn happens, most times the team creates more awareness and technology on the project increase.

It brings partnership. Most investors like to put money where there are good partnership. Like cartesi in instance is having lots of partnership around it which is helping the coin growth.

When the maximum supply of a coin is reduced, it creates new kind of investors from partnership to traders and institutional investors.

One way to understand burning is to compare it to buyback programs by real world companies like Apple although there are different burning mechanisms in crypto. You can build the burn mechanism into the transaction fee, or when a coin is used you can manually or automatically burn it via the protocol. It creates deflation and controls the supply in a way that is beneficial to the holders of the asset. Coins get spend to an address accessible for nobody, hence they are destroyed and removed from the circulating/total supply.

[dihari]

Just like what title you wrote in this topic, it is a burning address where no one own that address and no one have access to it. It used as a method to reduce the number of tokens which they believe can help the price of token it self.

[blockman]

Burning means whenever there are tokens sent to that address that isn't owned by anyone, that will be stored there forever and can no longer be retrieved.
It lessens the supply of that token which makes it more valuable in due time and makes the demand higher based on the law of supply and demand.

But it will only be valuable if the dev team of the token is also doing their developments on the project. Burning alone is not an assurance that a token will increase its value in the market. But if it is accompanied by active development from the dev's side, there's a chance that the token will gain better value in the market. So don't be attracted by seeing that there is burning program for the token but also look if the project has good use case in the market. Without its actual application, would be hard for the token to get valuable if it is relying with the burn program only.

The development is already there. As obvious with popular coins like BNB, they are in the continuous development of their token. Burning it is just part of the measure and probably also part of the roadmap that they have before which going to be keep on happening as they proceed to follow what they've started.

[SistaFista]

Just like what title you wrote in this topic, it is a burning address where no one own that address and no one have access to it. It used as a method to reduce the number of tokens which they believe can help the price of token it self.

It is not just reducing the number of tokens, but if we think more about burning, we can say it is a buyback too.
When you want to burn the coin, you must buy in the market and collect them to burn.
This makes the coin price increase, because the buyback and burn.

[Dexion]

When a token is sent to that address, the token will be stored there and cannot be retrieved by anyone, and that is what is known as burning, this causes a reduced supply in the market, if the demand for these tokens increases while the supply decreases it will cause an increase. price on the token, and it has done a lot.

[thesmallgod]

When smart contract is being created for a particular token a feature is added that allow part of the token to be burnt by simply sending  token to a smart contract address. when token get burnt by sending to that address, it can never be retrieved and no one have access to such token even though you can check the address or the transaction

[Myleschetty]

Hello guys,
I have recently come to know about cryptocurrency. It is amazing, how these digital currency eill revolutionise this world.
Since, I am following alot of coins. I have listen about burning of cryptocurrency. I am a little bit confused what does burning mean, I will be thankful if anybody explain this.
And I have seen major percentage of coins hold by this address 0x000000000000000000000000000000000000dead.
To whom this address belong? Is there anyone have access of this address ?

Burning of cryptocurrency is the strategy used to make a certain scarce in the market and it also reduces the total supply of coin and total circulating supply of coins while increase the chance of the coin gaining more increase in price but the token thats burned are sent to address will never be use by anyone.